Hapag-Lloyd Fine-Tunes Gemini Network for Efficiency: "Refinement, Not Revolution"
Hapag-Lloyd Fine-Tunes Gemini Network for Efficiency: "Refinement, Not Revolution"
Hapag-Lloyd is conducting a comprehensive review of the Gemini Cooperation network developed jointly with Maersk to improve operational performance. CEO Rolf Habben Jansen said during the third-quarter results presentation that the purpose of the review is to analyze "what is working well and where improvements are needed."
Gemini Cooperation is among the projects reshaping the two carriers' networks using a hub-and-spoke model and set for major transformation in 2025. The model aims to deploy large, high-frequency vessels on main trunk routes while connecting feeder ports to smaller feeder operations.
Habben Jansen emphasized that some strengths of this structure have emerged, but certain port calls also need to be revised:
"We will complete the review and then inform the market, but don't expect revolutionary changes."
This suggests the review is more in the nature of operational fine-tuning.
Port Closures and Additions on the Gemini Agenda
According to the CEO's remarks, the review covers issues such as "where additional port calls might be needed" and "whether some existing stops can be removed."
Gemini routes are particularly utilized on:
Asia–Europe,
Trans-Pacific
and Trans-Atlantic
services.
Consequently, these adjustments will directly impact transit times, transhipment congestion, and feeder reliability across the global shipping network.
No Return to Red Sea and Suez
Habben Jansen reiterated once again that despite the Houthi ceasefire, the company has no plans to return to Red Sea and Suez Canal routes.
Given the persistent security risks in the region:
Transit times remain unstable,
Insurance costs are elevated,
Vessel and crew safety is at risk.
This is why Hapag-Lloyd, along with other major carriers such as Maersk, continues to favor the Cape of Good Hope route.
The company's criteria for returning:
Marine insurance costs normalize,
High security guarantees,
Sustained reduction in regional risks.
Currently, these conditions have not been met.
Gemini Cooperation Focused on Sustainability
Gemini Cooperation serves both carriers as a strong platform for:
increasing on-vessel utilization rates,
fine-tuning capacity through harmonized routes,
improving fuel efficiency,
achieving higher on-time delivery rates
.
Given 2025's volatile market conditions (rate fluctuations, Cape of Good Hope routing dynamics, volatile demand in Asian markets), the Gemini network has become a stability-creating structure for both Hapag-Lloyd and Maersk.
Key Takeaways:
Hapag-Lloyd is planning small optimizations to the Gemini network it operates with Maersk.
Some port calls will be added, others will be removed.
CEO: "Don't expect revolution."
The company has no plans to return to the Red Sea and Suez.
Gemini's objective: boost speed, efficiency, connection reliability, and on-time performance.
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News Link: https://www.joc.com/article/hapag-lloyd-refining-gemini-network-to-improve-efficiencies-habben-jansen-6115582
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Author: SedatOnat.com
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